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Most Banks in Asia Pacific Plan to Offer Open Banking Services to Commercial Customers, with Many Expecting Double-Digit Revenue Growth as a Result, Accenture Research Finds

Commercial banking customers in Thailand plan to use Open Banking to gain access to innovative services

Most large banks in Asia Pacific said that providing Open Banking services for their commercial clients is a key strategic initiative in their digital transformation programs, and many expect Open Banking to help them achieve double-digit revenue growth, according to a global research report by Accenture (NYSE: ACN).

Open Banking enables financial services commercial customers to share their financial data securely with banks and third parties, making it possible to easily transfer funds, compare products and manage accounts using application program interfaces (APIs).

According to the study, 90 percent of large banks in Asia Pacific said they plan to provide Open Banking services for their commercial clients, with half (50 percent) of the banks in the region expecting Open Banking to help them grow their revenues up to 10 percent and another one-third (33 percent) expecting it to help them grow their revenues up to 20 percent.

The report, “Opening Up Commercial Banking, The Brave New World Of Open Banking in APAC,” is based on a global survey of more than 750 executives at global banks, small- and medium-sized enterprises (SMEs), and large corporations.

ecosystem platform, respondents most often said reducing complexity and implementation costs for banconnectivity, cited by 28 percent of executives at large corporations and SMEs.

Commercial bank customers in the country also expect Open Banking to optimize efficiency of SME and corporate processes (cited by 25 percent of large corporations and SMEs) and gain access to convenient and innovative banking services (cited by 20 percent of large corporations and SMEs). When asked to identify the business areas that could be most improved in partnership with their bank through Open Banking, respondents at SMEs in Thailand cited payments, invoicing and matching, integration with accounting package and lending, while large corporations said finance, treasury management and payments.

“The range of Open Banking services that are important to SMEs and corporates in Thailand span many different areas, it’s all encompassing in terms of their interest,” said Graham Rothwell, a managing director at Accenture and Asia Pacific payments lead. “It’s time for the industry to work collaboratively to develop an Open Banking framework and agree on common standards because by having that framework in place, banks and fintechs will be able to partner more effectively and the whole system will be more efficient, benefiting all parties involved.”

The vast majority of large banks in Asia Pacific ― 80 percent ― have invested in Open Banking initiatives for their commercial customers or plan to do so next year, less than the 87 percent global average. But banks in the region plan larger investments than global counterparts to build out their Open Banking commercial platforms, offer third-party services and explore Open Banking use cases, with 39 percent planning investments of more than US$20 million, compared with 21 percent of banks in North America and 14 percent in Europe looking to spend that amount.

When asked who they would prefer to partner with on Open Banking initiatives, the vast majority of large corporate clients and SMEs in Thailand cited their bank (87 percent, the highest rate in the world); only 12 percent of commercial clients would prefer a non-bank technology provider.

“Banks in Thailand have a huge untapped opportunity because of their level of trust among corporate clients and the wide range of services that are important to SMEs and large businesses alike looking for Open Banking solutions,” Graham. “At the same time, what we also see is that if banks don’t do something to realize this opportunity, fintechs and other digital rivals could jump ahead and capture that themselves.”

To learn more about Accenture Banking, visit www.accenture.com/banking